Joint Credit

AAA

DEFINITION of 'Joint Credit'

Credit issued to two or more people based on their combined incomes, assets and credit histories. Joint credit can be issued to multiple individuals or organizations. The parties involved accept joint responsibility for repaying the debt.

INVESTOPEDIA EXPLAINS 'Joint Credit'

Many married couples apply for joint credit. This is especially true with the purchase of a home. Joint credit is an issue and concern in divorce proceedings, under which the terms may give one partner responsibility for certain debts and the other partner responsibility for other debts. It is possible that subsequent to the divorce proceedings, the former partners may still affect one another's credit.

RELATED TERMS
  1. FICO Score

    A type of credit score that makes up a substantial portion of ...
  2. Joint Tenants in Common - JTIC

    A type of brokerage account which is owned by at least two people ...
  3. Joint Liability

    An obligation, including an obligation to repay a debt between ...
  4. Credit

    1. A contractual agreement in which a borrower receives something ...
  5. Joint Owned Property

    Any property held in the name of two or more parties. The two ...
  6. Billing Cycle

    The interval of time during which bills are prepared for goods ...
Related Articles
  1. Getting Your Kids Their First Credit ...
    Credit & Loans

    Getting Your Kids Their First Credit ...

  2. Understanding Your Mortgage
    Personal Finance

    Understanding Your Mortgage

  3. How To Establish A Credit History
    Options & Futures

    How To Establish A Credit History

  4. Is Your Teen Ready For A Credit Card?
    Credit & Loans

    Is Your Teen Ready For A Credit Card?

comments powered by Disqus
Hot Definitions
  1. Elasticity

    A measure of a variable's sensitivity to a change in another variable. In economics, elasticity refers the degree to which ...
  2. Tangible Common Equity - TCE

    A measure of a company's capital, which is used to evaluate a financial institution's ability to deal with potential losses. ...
  3. Yield To Maturity (YTM)

    The rate of return anticipated on a bond if held until the maturity date. YTM is considered a long-term bond yield expressed ...
  4. Net Present Value Of Growth Opportunities - NPVGO

    A calculation of the net present value of all future cash flows involved with an additional acquisition, or potential acquisition. ...
  5. Gresham's Law

    A monetary principle stating that "bad money drives out good." In currency valuation, Gresham's Law states that if a new ...
  6. Limit-On-Open Order - LOO

    A type of limit order to buy or sell shares at the market open if the market price meets the limit condition. This type of ...
Trading Center